Trying to crack the code on everything auto insurance companies look at when deciding what your premium will be is a little like trying beat search engine algorithms. Something you wont be able to conquer over a weekend, thats for sure. The good news, however, if you dont need to consult a secret playbook to get a good rate. There are some things you can watch out for while shopping for a car that can help keep those premiums manageable. Here are the most important:
Safety ratings arent necessarily top-of-mind while car shopping, so you have to make sure to stay aware of them while youre being dazzled on the showroom floor or overwhelmed by the selection of a lot. After youve stared longingly at the car of your dreams, do your research and check out the safety test ratings. The National Highway Traffic Safety Administration is a great place to start.
When youre considering a new car, find out how popular that model is with people in the car-stealing business. You may be surprised to find the relatively modest car youre looking at buying is high on the most-stolen list simply because its filled with parts that can be sold for serious money. If the model of car youve targeted is a frequent target of thieves, insurers are likely to factor that risk into your premium.
Some Other Considerations
Engine Size: Unless you drive on the NASCAR circuit, odds are you dont need a rocket for an engine. If youve got the need for speed and have your eye on car with a high-performance engine thatll tempt you test its limits, guess what? Insurers will probably assume youll be testing those limits and raising your risk of a high-speed crash.
Older Cars: A bargain purchase can get expensive come insurance time. Buying your uncles old car for a song doesnt necessarily mean itll be cheap to insure just because you didnt pay much for it. Older cars have fewer safety features than newer cars. And older cars tend to develop problems more often, raising the risk of accidents.
Less-Than-Sexy Cars: Face the fact that boring can be better. Cruising the highway in a minivan or SUV isnt the inspiration you had in mind for that on the road novel you thought about writing once upon a time, but there are advantages to being in that club. The general audience for soccer mom vehicles is people who drive their kids around, stick to the speed limit and avoid risk on the road. Picking a car thats popular with the safety-conscious could be a premium-friendly move.
A Word About Choosing Your First Car
Picking a car for a teenager is serious business. Insurance rates tend to be high for young drivers to begin with, so a smart car choice is a very good idea. But aside from the insurance premium, getting an insurance friendly car for a teenager is a good way to be sure youre selecting a safe car, as well.
The Insurance Institute for Highway Safety has some excellent advice on buying cars for teenagers.
On the Subject of Insurance
Whenever youre in an insurance-buying situation, its a good idea to step back and look at your entire insurance picture. An event like insuring a new or used car is one of those times. If youre insuring against the likelihood of accidents, think about making sure youre insured against possible catastrophic results of an accident.
Yes, were talking about life insurance. Its an uncomfortable subject, but one we all need to consider. Weve discussed the topic before on this blog. Get some perspective on life insurance in general and seeing that your loved ones are looked after.
If you happen to be in the market for car insurance, SelectQuote agents are ready to review your current coverage and compare your policy to todays rates to determine if we can save you some money. Call (855) 777-6090 or visit www.selectquoteautoandhome.com.
Ending on an up Note
Now that weve pointed out some connections between your choice of car and your possible insurance premiums, wed like to explode a myth for you.
Are you ready?
The color of car you choose makes absolutely no difference! All that stuff youve heard about red cars costing more to insure? False. Odds are the cars in question have something else going on to raise those insurance rates. Insurers dont care what color your car is. As with so much else in life—its mostly whats inside that counts.
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